Calls for PM May to resign continue....>

GILT SUMMARY: Calls for PM May to resign continue to grow louder as voters line

up to take part in the European Elections. Although May is still refusing step

down, if the election result proves as calamitous as indicated by the polls, and

if the cabinet informs her that she has lost confidence, it would be difficult

to see where the PM can go next. Attempting to stay on in that scenario would

merely prolong the political paralysis in Westminster.

- The Jun-19 gilt future trades at 129.57, up 52 ticks from Wednesday's close

and 6 ticks off the day's high; L-H: 129.39-129.63

- Gilts have rallied with yields 2-3bps lower on the day. Cash yields (Last / 1d

chg / L..H): 2Y (0.6624% / -2.3bp / 0.6568%...0.6735%); 5Y (0.7404% / -3.3bp /

0.735%...0.7546%); 10Y (0.9834% / -3.1bp / 0.9778%...0.9955%); 30Y (1.5528% /

-1.9bp / 1.5478%...1.5622%).

- The short sterling futures strip has flattened: W (+ 1.0/4.0 ticks); R (+

4/4.5 ticks); G (+ 4/4.5 ticks); B (+ 4.5/5 ticks).